EXECUTIVE ORDER NO. 285, February 23, 2004

DIRECTING THE RATIONALIZATION OF THE OPERATIONS OF THE GARMENTS AND TEXTILE EXPORT BOARD (GTEB)

WHEREAS, by virtue of the Philippines’ accession to the World Trade Organization, garments and textile export quotas will be totally eliminated by year 2005, paving the way for a quota-free trade in garments and textile;

WHEREAS, the major function of GTEB which is the negotiation, administration, allocation and monitoring of garments and textile export quota will correspondingly be phased-out;

WHEREAS, with the phasing-out of its major function 2005, where GTEB will be left with a residual function of developing and promoting garments and textile exports, there is a need to rationalize and streamline its operations;

WHEREAS, it is the policy of the government to maintain efficiency and effectiveness in the delivery of public services by removing redundancies and eliminating/minimizing overlaps and duplication;

WHEREAS, Section 77 and 78 of the General Provisions of the General Appropriations Act (GAA) of 2003, as well as similar provisions of previous GAAs, give the President of the Philippines authority to direct changes in the organizational units of key positions in any department or agency;

NOW, THEREFORE I, GLORIA MACAPAGAL-ARROYO, President of the Republic of the Philippines, by virtue of the powers vested in me by law, do hereby order:

Section 1. Rationalization of GTEB Operations and Organizations. The Secretary of the Department of Trade and Industry (DTI) is hereby ordered to rationalize the operations and organization of the GTEB. The rationalization should take into consideration the performance by the GTEB of its remaining regulatory functions pending the elimination of the textile export quotas and the transfer of its export promotion functions to appropriate units of the Department.

Section 2. Deactivation of the GTEB by 2005. The DTI Secretary shall prepare and implement a winding up plan for the deactivation of the GTEB by 2005.

Section 3. Separation Package. Personnel of the GTEB who may be affected by this effort shall be entitled to a separation benefit equivalent to two (2) months of their latest compensation for every year of service in the government, in addition to all gratuities and benefits to which they may be entitled under existing laws, rules and regulations. GTEB employees who avail of such privileges and opt to start their government service anew by being absorbed I the rationalized GTEB shall refund the government of the full amount of the separation benefits received.

Section 4. Availability of the Separation Package. The separation package herein authorized shall be available up to December 2004 to those whose positions are identified by the GTEB Chairman as critical in the performance of the remaining functions of the rationalized GTEB.

Section 5. Personnel Related Movements. All personnel-related movements resulting from the rationalization of the operations of the GTEB shall be implemented within CSC rules and regulations.

Section 6. Funding. Funding requirements for the separation package of GTEB employees under this Order shall be sourced from its income as reflected in its COA-submitted financial statements/reports as of December 31, 2002.

Section 7. Compensation of GTEB Personnel after Rationalization. GTEB personnel hired under the revised structure and staffing pattern of the agency shall receive the salary and other benefits in accordance with Republic Act No. 6758, otherwise known as the Salary Standardization Law.

Section 8. Repealing Clause. All executive orders, issuances orders, rules and regulations which are inconsistent with this Executive Order are hereby revoked, amended or modified accordingly.

Section 9. Separability Clause. If any provision of this Executive Order shall be held unconstitutional, the remainder of the Order not otherwise affected shall remain in effect.

Section 10. Effectivity. This Executive Order takes effect 15 days after its publication in the Official Gazette or in a newspaper of general circulation, whichever comes earlier.

DONE in the City of Manila, this 23rd day of February, in the year of our Lord, Two Thousand and Four.

(SGD.) GLORIA MACAPAGAL-ARROYO

President of the Philippines

By the President:

(SGD.) ALBERTO G. ROMULO

Executive Secretary